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more ads on App Store

Apple’s App Store to have more advertising

Apple is planning to expand its advertising business by adding a second advertising slot in its App Store search page’s “suggested” section, the Financial Times reports. The information came the day after a US Senate hearing with Apple and Google’s Android about the two companies’ domination on the app market, with them being accused of abusing competition rules.

The new advertising slot on the App Store will be rolled out by the end of April. Advertisers can promote their apps across the whole network, rather than in response to specific searches, the FT said.

The Senate Judiciary Committee’s antitrust panel hearing focused on accusations of anti-competitive behaviour that both Apple’s and Android’s store are accused of. Both of them charge fees of up to 30% for in-app purchases with the companies saying this is needed to provide security for users.

Developers have said that Apple and Android efficiently block all competition and that this dominance is the only explanation to why they can charge up to 30% for in-app purchases.

Senator Amy Klobuchar said that Apple’s App Store was a “literal monopoly” and that both stores “exclude or suppress apps that compete with their own products” and “charge excessive fees that affect competition in the app store economy”.

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